ACCOUNTS - Final Accounts preparation

ECOTECH PRECISION LTD - Company Information

Caseware UK (AP4) 2018.0.196 2018.0.196 2019-09-302019-09-30The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.truefalseNo description of principal activityfalse2018-09-27 11591546 2018-09-26 11591546 2018-09-27 2019-09-30 11591546 2019-09-30 11591546 c:Director1 2018-09-27 2019-09-30 11591546 c:Director2 2018-09-27 2019-09-30 11591546 d:PlantMachinery 2018-09-27 2019-09-30 11591546 d:PlantMachinery 2019-09-30 11591546 d:PlantMachinery d:OwnedOrFreeholdAssets 2018-09-27 2019-09-30 11591546 d:PlantMachinery d:LeasedAssetsHeldAsLessee 2018-09-27 2019-09-30 11591546 d:OfficeEquipment 2018-09-27 2019-09-30 11591546 d:OfficeEquipment 2019-09-30 11591546 d:OfficeEquipment d:OwnedOrFreeholdAssets 2018-09-27 2019-09-30 11591546 d:OfficeEquipment d:LeasedAssetsHeldAsLessee 2018-09-27 2019-09-30 11591546 d:OwnedOrFreeholdAssets 2018-09-27 2019-09-30 11591546 d:LeasedAssetsHeldAsLessee 2018-09-27 2019-09-30 11591546 d:CurrentFinancialInstruments 2019-09-30 11591546 d:Non-currentFinancialInstruments 2019-09-30 11591546 d:CurrentFinancialInstruments d:WithinOneYear 2019-09-30 11591546 d:Non-currentFinancialInstruments d:AfterOneYear 2019-09-30 11591546 d:Non-currentFinancialInstruments d:BetweenOneTwoYears 2019-09-30 11591546 d:RetainedEarningsAccumulatedLosses 2019-09-30 11591546 d:AcceleratedTaxDepreciationDeferredTax 2019-09-30 11591546 d:TaxLossesCarry-forwardsDeferredTax 2019-09-30 11591546 c:FRS102 2018-09-27 2019-09-30 11591546 c:AuditExempt-NoAccountantsReport 2018-09-27 2019-09-30 11591546 c:FullAccounts 2018-09-27 2019-09-30 11591546 c:PrivateLimitedCompanyLtd 2018-09-27 2019-09-30 11591546 d:HirePurchaseContracts d:WithinOneYear 2019-09-30 11591546 d:HirePurchaseContracts d:BetweenOneFiveYears 2019-09-30 iso4217:GBP xbrli:pure

Registered number: 11591546

ECOTECH PRECISION LTD

FILLETED FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

ECOTECH PRECISION LTD

REGISTERED NUMBER: 11591546

STATEMENT OF FINANCIAL POSITION

AS AT 30 SEPTEMBER 2019

		2019
Note		£

Fixed assets
Tangible assets	4		89,432
			89,432
Current assets
Stocks		1,000
Debtors: amounts falling due within one year	5	42,135
Cash at bank and in hand	6	31,561
		74,696
Creditors: amounts falling due within one year	7	(31,459)
Net current assets			43,237
Total assets less current liabilities			132,669
Creditors: amounts falling due after more than one year	8		(80,446)
Provisions for liabilities
Deferred tax	11	(9,566)
			(9,566)
Net assets			42,657

Capital and reserves
Profit and loss account			42,657
			42,657

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ECOTECH PRECISION LTD

REGISTERED NUMBER: 11591546

STATEMENT OF FINANCIAL POSITION (CONTINUED)

AS AT 30 SEPTEMBER 2019

The directors consider that the Company is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Company to obtain an audit for the period in question in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

The financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The Company has opted not to file the statement of income and retained earnings in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

Mr A J Gillett	Mr A J Salmon
Director	Director

Date: 14 April 2020

The notes on pages 3 to 10 form part of these financial statements.

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

1.	General information

EcoTech Precision Ltd is a private limited company incorporated in England.
Registered Office:
George Court
Bartholomew's Walk
Ely
Cambridgeshire
CB7 4JW

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

2.2

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Company has transferred the significant risks and rewards of ownership to the buyer;

∙the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

∙the amount of revenue can be measured reliably;

∙it is probable that the Company will receive the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

2.Accounting policies (continued)

2.3

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to the Statement of income and retained earnings on a straight line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

The Company has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into before the date of transition to the standard 27 September 2017 to continue to be charged over the period to the first market rent review rather than the term of the lease.

2.4

Finance costs

Finance costs are charged to the Statement of income and retained earnings over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.5

Borrowing costs

All borrowing costs are recognised in the Statement of income and retained earnings in the period in which they are incurred.

2.6

Current and deferred taxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in the Statement of income and retained earnings, except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the Statement of financial position date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and

∙Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

2.Accounting policies (continued)

2.7

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

				Plant and machinery	-	15%	reducing balance
				Office equipment	-	25%	reducing balance

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of income and retained earnings.

2.8

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first outbasis. Work in progress and finished goods include labour and attributable overheads.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.9

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.10

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

2.11

Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

2.Accounting policies (continued)

2.12

Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to the Statement of income and retained earnings in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the Statement of financial position date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Statement of financial position.

2.13

Financial instruments

The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

2.14

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Employees

The average monthly number of employees, including directors, during the period was 2.

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

4.	Tangible fixed assets

	Plant and machinery	Office equipment	Total
	£	£	£
Cost or valuation
Additions	104,950	300	105,250
At 30 September 2019	104,950	300	105,250
Depreciation
Charge for the period on owned assets	6,518	75	6,593
Charge for the period on financed assets	9,225	-	9,225
At 30 September 2019	15,743	75	15,818
Net book value
At 30 September 2019	89,207	225	89,432

Debtors

					2019
					£


	Trade debtors	42,135
		42,135

6.	Cash and cash equivalents
		2019
		£

	Cash at bank and in hand	31,562
		31,562

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

7.	Creditors: Amounts falling due within one year
		2019
		£

	Other loans	9,526
	Trade creditors	5,207
	Other taxation and social security	2,725
	Obligations under finance lease and hire purchase contracts	12,300
	Other creditors	701
	Accruals and deferred income	1,000
		31,459

8.	Creditors: Amounts falling due after more than one year
		2019
		£

	Bank loans	4,763
	Net obligations under finance leases and hire purchase contracts	43,732
	Other creditors	31,951
		80,446

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

9.	Loans
	Analysis of the maturity of loans is given below:
		2019
		£

	Amounts falling due within one year
	Other loans	9,526
		9,526
	Amounts falling due 1-2 years
	Bank loans	4,763
		4,763


		14,289

10.	Hire purchase and finance leases
	Minimum lease payments under hire purchase fall due as follows:
		2019
		£

	Within one year	12,300
	Between 1-5 years	43,732
		56,032

11.	Deferred taxation

		2019
		£

	Charged to profit or loss	(9,566)
	At end of year	(9,566)

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ECOTECH PRECISION LTD

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2019

11.Deferred taxation (continued)

	The deferred taxation balance is made up as follows:
					2019
					£

	Accelerated capital allowances	(15,203)
	Tax losses carried forward	5,637
		(9,566)

12.	Related party transactions
	At the balance sheet date the company owed the directors £31,951 with no interest being charged.

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